Federal and State Subminimum Wage Legal and Policy Framework

State Exchange on Employment & Disability

Federal Legal and Policy Framework

Under Section 14(c) of the Fair Labor Standards Act, employers are authorized, after receiving a certificate from the Wage and Hour Division, to pay subminimum wages (SMWs)—wages less than the federal minimum wage—to workers who have disabilities “for the job  being performed.” The certificate also allows the payment of wages that are less than the prevailing wage to workers who have disabilities for the work being performed on contracts subject to the McNamara-O’Hara Service Contract Act (SCA) and the Walsh-Healey Public Contracts Act (PCA).

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National Disability Employment Awareness Month

By Sydney Geiger

Oct. 1 marks the start of the National Disability Employment Awareness Month (NDEAM). The U.S. Department of Labor Office of Disability Employment Policy began celebrating NDEAM in 1945. People with disabilities continually face unemployment rates much higher than the national average. Each year, October is designated to highlight the importance of developing an inclusive workforce of individuals with a variety of abilities.

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Oregon Workgroup Aims to Improve Employment Outcomes for People with Disabilities

By Matthew Shafer

The Council of State Governments, in partnership with the National Conference of State Legislators, or NCSL, and the State Exchange on Employment and Disability, or SEED, provided technical assistance to Oregon’s House Workgroup on Workforce Development for People with Disabilities. The workgroup is made up of representatives from Oregon’s House Higher Education and Workforce Development Committee chaired by Rep. Jeff Reardon. Other members include Rep. Gene Whisnant, the vice chair, and Rep. Janeen Sollman.

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Advice for States on Improving Disability Employment from Oregon Representative Gene Whisnant

By Matthew Shafer

Individuals with disabilities are major contributors to the modern workforce. However, the unemployment rate for those with disabilities is almost double  the unemployment rate of the general population according to the Bureau of Labor Statistics. Taking the proper steps to provide workers with disabilities the appropriate accommodations could reduce this high unemployment rate, and provide opportunities to thrive at work. Employment is the most direct and cost-effective means to empower individuals to achieve independence, economic self-sufficiency, and a sense of dignity and self-worth.

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